Archive for October 14th, 2008

h1

Signs of the Economic Holocaust

October 14, 2008

On the radio this morning I heard an advertisement for Coldwell Banker’s 10 Day Sales Event; the ad copy read just like a used car lot.  What’s so unusual about the event is that home sales are traditionally a peer to peer event.  A seller, a buyer, and a broker who shepherds the deal & takes a commission.

Apparently things are so bad out there that Coldwell is resorting to Crazy Gideon style sales tactics to spur purchases.  I don’t know much about the housing industry, but my initial thought was that maybe Coldwell is both the broker and the owner/seller in many of their homes, having taken possession through foreclosure.  If that’s not the case (and it well may not be, I don’t know shit about the mortgage industry), then maybe sales of existing homes are just appallingly slow right now and radio jingle spots and hyped “events” are the best thing the marketing gurus at Coldwell could come up with to get things moving again.

If Coldwell is not selling the houses themselves, I’m not sure how they can promise 10 days of specially reduced prices.  Maybe they had their brokers tell everyone trying to list a house with them that they would have to lower their prices between October 10th & October 19th.

If they really want to get the economy going again, they should abandon the gimmicks & hire Vince from the Shamwow commercials as their pitchman.  My wife saw those once and immediately demanded a shamwow.